Chapter 736 Huge Cash Flow
Excluding convenience stores, the main business sales in 2004 exceeded 57.6 billion Chinese dollars, second only to Bailian Group.
The net profit margin was 13%, with a profit of 7.488 billion Chinese dollars.
Non-main business is mainly divided into two aspects.
First, brand licensing fees.
Although the licensing fee is very low, the annual licensing fee for more than 6,000 stores exceeds 4 million Huaxia coins.
Although it is small, it is pure profit.
Second, middlemen make the difference.
The logistics department of Kelong Supermarket is responsible for the supply of all brand-authorized convenience stores.
Because the purchase volume is huge, you can get goods from suppliers at low prices.
These commercial properties have the possibility of acquisition.
“Well, he has tasted the sweetness. Through Pangu big data and cloud computing platform, Kelong Supermarket’s logistics transfer efficiency has increased by 30%, and its profits have increased by 3.7%.
Of course it is actually Not so much has fallen into our hands, because Kelong Supermarket still has liabilities of 13.9 billion Chinese yuan.
Now that housing prices are not high, we can definitely buy the commercial real estate where Kelong Supermarket is located.
< br>"By the way, if you want to acquire it, hurry up, even if the price is higher, you can accept it. ”
"Actually, the group has already decided to cancel the licensing fee, but it's just not reflected in the financial report." Jiang Xiaoyang said.
However, due to years of heavy investment, Kelong Supermarket’s current valuation has exceeded US$8 billion.
Moreover, through data comparison, 18 cases of self-inflicted corruption were investigated and dealt with, and the supermarket's sales increased by 14%.
“Real estate will not fall for long.” Xu Liang sighed.
If he is still indifferent to such a huge benefit, I should consider replacing him. "Jiang Xiaoyang said.
So 2005 is the best opportunity.
Although many Kelong supermarkets are opened in shopping malls or urban complexes, most of them are located on the ground floor of commercial office buildings in core urban areas, or simply stand alone.
Actually, they originally planned to invite Big Nose Dragon and Junqi Zhao.
The more Jiang Xiaoyang thought about it, the more feasible it became.
It can not only reap the benefits from the increase in house prices and the appreciation of fixed assets, but also reduce the cost of Kelong Supermarket.
Jiang Xiaoyang nodded.
Xu Liang nodded after thinking for a moment.
After declining in 2005, it basically recovered in 2006.
“Before, you analyzed with me the reasons for the decline of the supermarket industry. In addition to the impact of e-commerce, a big reason is the increase in rent costs.
“It’s a good idea. It just so happens that the country is restricting real estate. The industry is in recession, making it easier for you to acquire. "Xu Liang smiled.
The Liquor Business Department has currently acquired and integrated 13 liquor companies. Currently, only two brands are left: the high-end ‘Tuopai’ and the mid-to-low-end ‘Shede’, with output exceeding 70,000 tons.
In 2004, seven consecutive gold medals were issued to restrict real estate. By 2005, real estate fell into a complete low ebb.
“Why?”
Liquor Division, Red Wine Division and Beer Division.
Xu Liang nodded, "Lao Ma is still very forward-looking. I heard that he took the initiative to introduce Pangu Company's big data system?"
Opening a store requires spending money, which everyone can accept, but licensing fees take money out of the other party's profits, and no one is willing to pay.
As a middleman, Kelong is quite kind. It only takes 15 points and earns 480 million Chinese dollars a year.
After a pause, Jiang Xiaoyang continued.
“Cancel the authorization fee of Kelong Supermarket. The scale of authorized convenience stores has expanded. Just the intermediary fee can earn back the authorization fee several times.
“Having said that, I It suddenly occurred to me that we can invest in commercial real estate and convert Hanhua's US dollar assets into Huaxia currency assets. ”
It is currently divided into three major business divisions.
Tuopai recruited Zhang Guoshi as its spokesperson, and Shehe recruited Gong Li.
You can also get benefits from the appreciation of Hua Xia Coin assets.
Win three birds with one stone. "
Jiang Xiaoyang nodded, she never doubted Xu Liang's judgment.
A certain amount of interest and loan must be repaid every year.
Their nationality is far higher than Zhang Guoshi and Gong Li.
The annual sales of all convenience stores are about 3.2 billion Chinese dollars.
And this will make it easier for convenience store owners to accept it. "Xu Liangdao.
Finally, Huaxia Liquor Group.
Calculated in this way, Kelong Supermarket's net profit in 2004 was nearly 8 billion Chinese dollars.
But when I reported to Xu Liang, I was immediately scrapped.
What a joke.
Look at the fate of Overlord, Little Overlord and Aido, do you dare to invite the ‘Business World Dark Lantern’?
I won’t say anything about Junqi Zhao, what the hell.
Red Wine acquired ‘Veyron’ and the brand ‘Shangri-La’ established in 2000.
Beer, there are currently more than 15 integrated breweries, and the output has reached 3.2 million tons, second only to Xuehua and Qingdao.
Currently, Huaxia Liquor Group is still spending money on acquisitions.
The purpose is simple.
That is to bring down the entire market by burning money.
Then through optimization and integration, we can reduce costs, increase efficiency, and increase profit margins.
The strategy of Huaxia Liquor Industry is the routine of the Internet.
First burn money to grab the market, and then think about how to make money.
It can be said that the advantages of Hanhua have been brought to the extreme, making many colleagues, even international colleagues, envious.
Currently, the sales of the entire Huaxia Liquor Group in 2004 exceeded 9.6 billion Chinese dollars, but the profit was only 1.76 billion Chinese dollars.
Far lower than the industry average profit margin of 25%. Therefore, in the entire wine industry, Huaxia Liquor Group is the target of public ridicule.
In terms of valuation, Huaxia Liquor Group exceeded US$4.8 billion, with a debt ratio of 22%.
"Zheng Jun complained to me. He is under great pressure now. Every time he goes to Beijing to hold an industry symposium, he is inevitably laughed at." Jiang Xiaoyang said with a smile.
“No one laughs, but some hate others. Isn’t this normal?
If he was afraid of being laughed at, he would buy a few more wineries and complete the integration task early. "Xu Liangdao.
"I told him the same thing, so he submitted a merger and acquisition report. "
Took the document from Jiang Xiaoyang's hand.
"He wants to acquire Tsingtao Beer? "
Jiang Xiaoyang nodded and said: "Among the top three domestic beers, Snow Beer, which ranks first in production and sales, is a central enterprise, while Tsingtao Beer and Yanjing Beer are state-owned enterprises.
Snowflake is the leader, and the probability of selling it is very low. Moreover, our competition with China Resources in the retail industry is also fierce.
They most likely won’t sell it.
Yanjing Beer cannot be acquired due to Hanhua’s special relationship. "
Because of Jiang Weiguo's relationship, Yanjing is indeed not a suitable acquisition target.
"So the most suitable one is Tsingtao Beer, which has the second largest sales volume.
There are two reasons for this.
First, Interbrew, which holds 20% of Tsingtao Beer's shares, has been consolidating assets after merging with American Beverage, and Tsingtao Beer's shares are on sale.
Second, after we merged with Tsingtao Beer, the company’s registered address will still be in Daocheng and we will pay taxes for it.
A company with a production and sales volume of nearly 8 million tons, ranking first in the country and one of the top 10 beer companies in the world, has contributed far more profits and taxes than Tsingtao Beer in the past.
And we will retain the Tsingtao Beer brand and continue to invest in expanding Tsingtao Beer’s market share and enter Southeast Asia and even the global market.
A world-class beer company can bring great reputation to the island city. "
Xu Liang nodded, "Let Lao Zheng talk to the island city government. In addition, don’t stop merging and acquiring other wine companies. "
"Hmm. ”
Finally calculated, Hanhua Capital currently has total assets of US$60.65 billion, including US$23.65 billion in cash assets and US$10.18 billion in total liabilities.
Net assets are US$50.47 billion.
Of course, this asset must be watery.
Hanhua has purchased more than 1,000 pieces of art. The valuation is based on a sample survey of the current art market, using the increase multiple multiplied by the purchase cost of Hanhua's art.
But in fact, there are many factors that affect the value of a work of art. If someone really likes it, spending one or two hundred million to buy it will not feel expensive.
For example, the famous chicken vat cup.
Some people think that although the chicken cup is precious, the price of 280 million is too exaggerated.
Therefore, the true value of these works of art held by Hanhua can only be truly known on the day of sale.
Even for Huaxia Liquor and Kelong Supermarket, the valuation is always the valuation.
However, Xu Liang didn’t care.
He only needs to know an approximate value.
In addition to the value of Hanhua itself, they currently manage a huge capital of nearly 150 billion US dollars.
It is the world's largest private equity fund and hedge fund.
It is also the world's top venture capital fund.
Has a series of famous cases such as Ctrip, Skype, Netflix, and Zoom.
“There is still too much cash.” Xu Liang finally said.
With cash assets of US$23.65 billion, if the Huaxia currency rises 10 points against the US dollar, Hanhua will lose US$2.365 billion.
In fact, the exchange rate of the Chinese currency against the US dollar will drop from the current 8.27 to around 6.8, and even dropped to around 6.1 at its peak.
So, Xu Liang doesn’t want to hold too many U.S. dollar assets.
But he also knew that it was impossible to exchange too many Huaxia currency assets. After all, it was easy to get the funds in, but it was difficult to get them out.
But $23.65 billion is still too much.
“In May this year, the private equity fund holding Fuhua Real Estate will expire. According to our original plan, after the fund expires, we will acquire the shares of Fuhua Real Estate.
Based on the current market value of Fuhua and the number of fund holdings, we need to provide at least US$7 billion in cash, or half in cash and half in debt. "
"Half in cash, just debt. Just one Pacific Fund No. 2 can increase our net profit by more than 20 billion U.S. dollars. If we don’t add more liabilities, we will make too much of a loss. "
"I think so too.
In addition, a friend recently recommended three projects to me.
If you are interested, we can also purchase it.
It can convert Hanhua’s US dollar cash into Huaxia currency assets. "
Xu Liang became interested, "What project? "
Jiang Xiaoyang was about to speak, but was interrupted by a knock on the door.
Xu Liangliang felt unhappy and was about to scold him and ask him to leave. But he saw his mother push him away. The door came in, and his expression changed instantly.
"Mom! ”
Smile to please your face.
After giving the big boy a blank look, Wang Lingxiang smiled and turned his head.
"Xiaoyang, it's getting late, we should go to the hospital for a physical examination."
"Mom, I'll pack up and go over right away."
"Come, mom will help you . Now that you are older and inconvenient, if you get bumped, you will regret it for the rest of your life.”
As she said this, Wang Lingxiang came over and held her daughter-in-law's right arm.
In fact, Xu Liang had already arranged for four professional midwifery nurses to accompany Jiang Xiaoyang 24 hours a day.
No need for my help at all.
But who makes her like this?
(End of this chapter)